China, People's Republic of: Yunnan Sustainable Road Maintenance (Sector) Project

Sovereign (Public) Project | 45030-002 Status: Active

ADB is helping the People's Republic of China upgrade 890 kilometers of trunk roads in Yunnan province. Many of these roads are connected with or form part of the Greater Mekong Subregion’s northern and north-south transport corridors. It will also test a performance-based road maintenance scheme, set up a road asset management system, and implement an institutional development plan.

Project Details

Project Officer
Zhang, Wen East Asia Department Request for information
  • China, People's Republic of
  • Transport
Project Name Yunnan Sustainable Road Maintenance (Sector) Project
Project Number 45030-002
Country China, People's Republic of
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3074-PRC: Yunnan Sustainable Road Maintenance Project
Ordinary capital resources US$ 80.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Private sector development
Sector / Subsector

Transport - Road transport (non-urban)

Gender Equity and Mainstreaming Some gender elements

Yunnan is a poor, densely populated province with a population of 46 million. Because it is landlocked and mountainous,trade with other provinces and foreign countries involves transportation over long distances, whcih makes its products less competitive. These are still large pockets of poverty because of inadequate road access, limited land availability for agriculture, and cultural barreirsto out-migration. In 2011, 27% of Yunnan's rural population was considered poor, using the PRC's official poverty line of CNY2,300 per year.

Yunnan is strategically located along the PRC border with Lao People's Democratic Republic, Myanmar, and Viet Nam. About 60% of freight and 80% of passengers travel by road. The Yunnan Highway Administration Bureau (YHAB), under the Yunnan Provincial Department of Transport (YPDOT), manages a trunk road network of 24,089 km, which includes 45% of the province's paved roads. These roads form part of or connect with the Greater Mekong Subregion (GMS) Northern Economic Corridor and North-South Economic Corridors.

The project will improve the sustainability of Yunnan's trunk road network. It will (i) rehabilitate about 890 km of trunk roads, (ii) introduce performance-based road maintenance on a pilot bais on 164 km of trunk roads, (iii) set up a road asset management system, and (iv) implement an institutional development plan.

Project Rationale and Linkage to Country/Regional Strategy The government has asked ADB to support YHAB's trunk road maintenance program and assist in sector reform and insitutional strengthening. The proposed project represents a second phase of ADB support to road maintenance in Yunnan. By targeting a poor province and by advancing the agendas of road asset management and safety, the project is aligned with ADB's PRC country partnertship strategy and the Sustainable Transport Initiative.
Impact The people of Yunnan have improved access to a quality and safe trunk road network.
Project Outcome
Description of Outcome The sustainability of Yunnan's trunk road network improved.
Progress Toward Outcome To be assessed during completion review in 2019.
Implementation Progress
Description of Project Outputs

1. Trunk roads rehabilitated

2. Performance-based road maintenance piloted

3. Road asset management system enhanced

4. Institutional capacity of YHAB strengthened

Status of Implementation Progress (Outputs, Activities, and Issues)

Phase 1 and 2 subprojects were generally completed.

Phase 3 subprojects completed bidding in February 2017. Rehabilitation is scheduled in March 2017 onwards. Phase 4 subprojects selection will start in Q2 and Q3 2017. Performance-based road maintenance contract awarded in 2015 and progressed as per the schedule.

Road asset management system is being implementated. Equipment and data are to be installed and collected in 2017.

Domestic training on capacity building has been programmed and will be implemented from mid-2017.

Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The project is category B for environment. A consolidated initial environmental examination and environmental management plan was prepared for the seven subprojects chosen for rehabilitation during phase 1 and the pilot testing of the two performance-based road maintenance modalities. These documents comply with the PRC's regulatory requirements and ADB's Safeguard Policy Statement (2009) and were disclosed on the ADB website on 25 April 2013. Two of the subprojects have been classified as category B, and the rest as category C. The works will be confined to the original right-of-way of existing national, provincial, and county roads. All identified environmental impacts will be mitigated through activities under the environmental management plan. An environmental assessment review framework has been prepared to guide the assessment of subprojects to be identified and carried out later under the project's three subsequent phases. YHAB accepted PPTA recommendations to increase its environmental capacity, and tools have been developed to manage environmental impacts and opportunities associated with maintenance activities.
Involuntary Resettlement Due diligence indicated that no land acquisition or resettlement will be required for the first-year subprojects. While the subprojects yet to be selected for the remaining phases are expected to be similar, the project was classified as resettlement category B to allow for changes at detailed design stage if a future subproject involves modest resettlement due to road widening or straightening or to improve safety features. A resettlement framework and a sample resettlement plan have been prepared and were disclosed on the ADB website on 25 April 2013. Should a subproject require land acquisition or resettlement, the executing agency will prepare and submit resettlement plan(s) for ADB review and clearance; this will include a participatory consultation process, and other measures defined in the resettlement framework. The project will not finance a subproject that requires significant resettlement.
Indigenous Peoples Due diligence conducted during the project preparatory TA found no significant adverse impacts on ethnic minorities in the project area that would trigger the indigenous peoples safeguard requirements, hence the project is classified as indigenous peoples category C.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations have been organized during project preparation stage for project scope, environmental issue, and involuntary resettlement.
During Project Implementation Consultation and participation strategy will continue during implementation.
Responsible ADB Officer Zhang, Wen
Responsible ADB Department East Asia Department
Responsible ADB Division PRC Resident Mission
Executing Agencies
Yunnan Provincial Department of Transport
No. 1 Huang Cheng Xi Road
Kunning, Yunnan
Harbin,People's Republic of China
Concept Clearance 12 Dec 2011
Fact Finding 24 Sep 2012 to 28 Sep 2012
MRM 18 Oct 2012
Approval 02 Dec 2013
Last Review Mission -
Last PDS Update 13 Mar 2017

Loan 3074-PRC

Approval Signing Date Effectivity Date Closing
Original Revised Actual
02 Dec 2013 30 May 2014 07 Aug 2014 31 Mar 2019 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 232.40 Cumulative Contract Awards
ADB 80.00 02 Dec 2013 64.12 0.00 80%
Counterpart 152.40 Cumulative Disbursements
Cofinancing 0.00 02 Dec 2013 34.12 0.00 43%

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

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Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Yunnan Sustainable Road Maintenance Project Resettlement Frameworks Apr 2013
Yunnan Sustainable Road Maintenance Project Environmental Assessment and Review Framework Apr 2013
Yunnan Sustainable Road Maintenance Project Initial Environmental Examination Apr 2013

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.

The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

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